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WorkpaperIFRS 18 — Presentation and Disclosure in Financial StatementsL2 · L3

Required subtotals down to profit for the period and reconciliation of a management-defined performance measure

11 missions8 sections to document90 min

Prepared by: AI-assisted draft
Reviewed by: Not reviewed — human review required
Status: Published

Objective of the workpaper

Take the income and expenses already classified by category and build the subtotals: operating profit, profit before financing and income taxes, profit before income taxes, profit for the period. For a measure published outside the financial statements, judge whether it is a management-defined performance measure, then reconcile it to the most directly comparable specified subtotal with the income tax effect and the effect on non-controlling interests of each item. The items, the measure and the tax rate of the simplified approach are case data.

8 sections · 29 blocks · 6 calculations · 0 entries

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File and entity

Required subtotals, exchange differences, hedging and the build-up of profit for the period

Case tasks documented here

Compute profit before financing and income taxes.
Compute profit before income taxes.
Compute profit for the period.

Facts and data

Inputs

Income and expenses classified by category: source of the amounts and sign conventions
TextRequired
AMOUNTS_OF_THE_20X7_LEDGER_AFTER_THE_TWO_RECLASSIFICATIONS
Measure published outside the financial statements: definition, place of publication, items excluded or added
Text
Revenue
Number
25,000,000
Other income of the operating category
Number
140,000
Expenses of the operating category (total)
Number
19,760,000
Net income of the investing category
Number
110,000
Net expenses of the financing category
Number
400,000
Income tax expense
Number
1,350,000
Result of discontinued operations (profit)
Number
200,000
Profit per the accounting records, before reclassification
Number
3,940,000
Most directly comparable specified subtotal
Number
First reconciling item (gross amount)
Number
Second reconciling item (gross amount)
Number
Gross amount of a reconciling item
Number
Income tax effect of the item
Number
Effect of the item on non-controlling interests
Number

Supporting documents

Evidence

Documents obtained and referenced (income statement, earnings release, tax policy of the simplified approach)
EvidenceRequired

Analysis of the subtotals and the performance measure

Analysis

IFRS 18IFRS 18

Points examined: subtotals and performance measure
ChecklistRequired
- Operating profit = total of the income and expenses of the operating category
- Profit before financing and income taxes = operating profit + income and expenses of the investing category
- The investing category is not part of operating profit
- After financing, income taxes and discontinued operations, profit for the period is obtained
- A total or subtotal required by IFRS 18 or another standard (paragraph 118) is not a management-defined performance measure
- Measure reconciled to the most directly comparable specified subtotal, with the income tax effect and the effect on non-controlling interests of each item

Calculations

IFRS 18IFRS 18

Operating profit (income − expenses of the operating category)
Calculation
5,380,000
Revenue ; Other income of the operating category ; − Expenses of the operating category (total)
Profit before financing and income taxes
Calculation
5,490,000
Operating profit (income − expenses of the operating category) ; Net income of the investing category
Profit before income taxes (after the net financing expenses)
Calculation
5,090,000
Profit before financing and income taxes ; − Net expenses of the financing category
Profit for the period (after income taxes and discontinued operations)
Calculation
3,940,000
Profit before income taxes (after the net financing expenses) ; − Income tax expense ; Result of discontinued operations (profit)
Management-defined performance measure (specified subtotal + reconciling items)
Calculation
0
Most directly comparable specified subtotal ; First reconciling item (gross amount) ; Second reconciling item (gross amount)
Net effect of a reconciling item (amount − tax effect − effect on non-controlling interests)
Calculation
0
Gross amount of a reconciling item ; − Income tax effect of the item ; − Effect of the item on non-controlling interests

Judgment: identification of a management-defined performance measure

Judgment

IFRS 18IFRS 18

Nature of the published measure
JudgmentRequired
Not applicable
Management-defined performance measure / Subtotal specified by a standard: not a management-defined measure / Not a subtotal of income and expenses / Not used in communications outside the financial statements / Not applicable
Professional judgment: the measure and its items are choices of management; they are not imposed by the standard.
Rationale: subtotal of income and expenses, public use, management view of the performance of the entity as a whole, absence from the list of specified subtotals
Text

Items to document for the note on the performance measure

Disclosure

IFRS 18

Information to prepare on the performance measure
Checklist
- Information given in the notes
- Description of the measure and of the aspect of performance it communicates
- Reconciliation to the most directly comparable specified subtotal
- Income tax effect and effect on non-controlling interests of each item, and how the tax effect was determined

Conclusion

Chain of subtotals down to profit for the period, judgment on the published measure, reconciliation with the income tax effect and the effect on non-controlling interests
ConclusionRequired

Normative references

References

Normative references cited in this workpaper
References

Checks and financial statement impact

Source of the amounts describedPass
Measure judged and supportedPass
Recomputed profit = profit per the accounting records (classification does not change profit)Pass

Assets: 0
Liabilities: 0
Profit or loss: 0
OCI: 0
Equity: 0

File and entity

Management-defined performance measures: definition, excluded subtotals, reconciliation, tax and non-controlling interest effects

Case tasks documented here

Which of the 5 measures of the release are management-defined performance measures?
Compute the measure "adjusted operating profit".
Compute the net effect of tax and non-controlling interests of the restructuring.
Compute the net effect of tax and non-controlling interests of the amortisation of acquired intangibles.

Facts and data

Inputs

Income and expenses classified by category: source of the amounts and sign conventions
TextRequired
SUBTOTAL_OF_INCOME_AND_EXPENSES_PUBLISHED_IN_THE_EARNINGS_RELEASE
Measure published outside the financial statements: definition, place of publication, items excluded or added
Text
ADJUSTED_OPERATING_PROFIT_IN_THE_EARNINGS_RELEASE
Revenue
Number
Other income of the operating category
Number
Expenses of the operating category (total)
Number
Net income of the investing category
Number
Net expenses of the financing category
Number
Income tax expense
Number
Result of discontinued operations (profit)
Number
Profit per the accounting records, before reclassification
Number
Most directly comparable specified subtotal
Number
5,930,000
First reconciling item (gross amount)
Number
400,000
Second reconciling item (gross amount)
Number
260,000
Gross amount of a reconciling item
Number
Income tax effect of the item
Number
Effect of the item on non-controlling interests
Number

Supporting documents

Evidence

Documents obtained and referenced (income statement, earnings release, tax policy of the simplified approach)
EvidenceRequired

Analysis of the subtotals and the performance measure

Analysis

IFRS 18IFRS 18

Points examined: subtotals and performance measure
ChecklistRequired
- Operating profit = total of the income and expenses of the operating category
- Profit before financing and income taxes = operating profit + income and expenses of the investing category
- The investing category is not part of operating profit
- After financing, income taxes and discontinued operations, profit for the period is obtained
- A total or subtotal required by IFRS 18 or another standard (paragraph 118) is not a management-defined performance measure
- Measure reconciled to the most directly comparable specified subtotal, with the income tax effect and the effect on non-controlling interests of each item

Calculations

IFRS 18IFRS 18

Operating profit (income − expenses of the operating category)
Calculation
0
Revenue ; Other income of the operating category ; − Expenses of the operating category (total)
Profit before financing and income taxes
Calculation
0
Operating profit (income − expenses of the operating category) ; Net income of the investing category
Profit before income taxes (after the net financing expenses)
Calculation
0
Profit before financing and income taxes ; − Net expenses of the financing category
Profit for the period (after income taxes and discontinued operations)
Calculation
0
Profit before income taxes (after the net financing expenses) ; − Income tax expense ; Result of discontinued operations (profit)
Management-defined performance measure (specified subtotal + reconciling items)
Calculation
6,590,000
Most directly comparable specified subtotal ; First reconciling item (gross amount) ; Second reconciling item (gross amount)
Net effect of a reconciling item (amount − tax effect − effect on non-controlling interests)
Calculation
0
Gross amount of a reconciling item ; − Income tax effect of the item ; − Effect of the item on non-controlling interests

Judgment: identification of a management-defined performance measure

Judgment

IFRS 18IFRS 18

Nature of the published measure
JudgmentRequired
Management-defined performance measure
Management-defined performance measure / Subtotal specified by a standard: not a management-defined measure / Not a subtotal of income and expenses / Not used in communications outside the financial statements / Not applicable
Professional judgment: the measure and its items are choices of management; they are not imposed by the standard.
Rationale: subtotal of income and expenses, public use, management view of the performance of the entity as a whole, absence from the list of specified subtotals
Text
SUBTOTAL_USED_PUBLICLY_REFLECTING_THE_VIEW_OF_MANAGEMENT_AND_NOT_SPECIFIED_BY_THE_STANDARDS

Items to document for the note on the performance measure

Disclosure

IFRS 18

Information to prepare on the performance measure
Checklist
- Information given in the notes
- Description of the measure and of the aspect of performance it communicates
- Reconciliation to the most directly comparable specified subtotal
- Income tax effect and effect on non-controlling interests of each item, and how the tax effect was determined

Conclusion

Chain of subtotals down to profit for the period, judgment on the published measure, reconciliation with the income tax effect and the effect on non-controlling interests
ConclusionRequired

Normative references

References

Normative references cited in this workpaper
References

Checks and financial statement impact

Source of the amounts describedPass
Measure judged and supportedPass
Recomputed profit = profit per the accounting records (classification does not change profit)Not evaluated

Assets: 0
Liabilities: 0
Profit or loss: 0
OCI: 0
Equity: 0

File and entity

Management-defined performance measures: definition, excluded subtotals, reconciliation, tax and non-controlling interest effects

Case tasks documented here

Which of the 5 measures of the release are management-defined performance measures?
Compute the measure "adjusted operating profit".
Compute the net effect of tax and non-controlling interests of the restructuring.
Compute the net effect of tax and non-controlling interests of the amortisation of acquired intangibles.

Facts and data

Inputs

Income and expenses classified by category: source of the amounts and sign conventions
TextRequired
RECONCILING_ITEM_OF_THE_ADJUSTED_OPERATING_PROFIT
Measure published outside the financial statements: definition, place of publication, items excluded or added
Text
RESTRUCTURING_COSTS_IN_A_SUBSIDIARY_HELD_AT_90_PERCENT
Revenue
Number
Other income of the operating category
Number
Expenses of the operating category (total)
Number
Net income of the investing category
Number
Net expenses of the financing category
Number
Income tax expense
Number
Result of discontinued operations (profit)
Number
Profit per the accounting records, before reclassification
Number
Most directly comparable specified subtotal
Number
First reconciling item (gross amount)
Number
Second reconciling item (gross amount)
Number
Gross amount of a reconciling item
Number
400,000
Income tax effect of the item
Number
100,000
Effect of the item on non-controlling interests
Number
30,000

Supporting documents

Evidence

Documents obtained and referenced (income statement, earnings release, tax policy of the simplified approach)
EvidenceRequired

Analysis of the subtotals and the performance measure

Analysis

IFRS 18IFRS 18

Points examined: subtotals and performance measure
ChecklistRequired
- Operating profit = total of the income and expenses of the operating category
- Profit before financing and income taxes = operating profit + income and expenses of the investing category
- The investing category is not part of operating profit
- After financing, income taxes and discontinued operations, profit for the period is obtained
- A total or subtotal required by IFRS 18 or another standard (paragraph 118) is not a management-defined performance measure
- Measure reconciled to the most directly comparable specified subtotal, with the income tax effect and the effect on non-controlling interests of each item

Calculations

IFRS 18IFRS 18

Operating profit (income − expenses of the operating category)
Calculation
0
Revenue ; Other income of the operating category ; − Expenses of the operating category (total)
Profit before financing and income taxes
Calculation
0
Operating profit (income − expenses of the operating category) ; Net income of the investing category
Profit before income taxes (after the net financing expenses)
Calculation
0
Profit before financing and income taxes ; − Net expenses of the financing category
Profit for the period (after income taxes and discontinued operations)
Calculation
0
Profit before income taxes (after the net financing expenses) ; − Income tax expense ; Result of discontinued operations (profit)
Management-defined performance measure (specified subtotal + reconciling items)
Calculation
0
Most directly comparable specified subtotal ; First reconciling item (gross amount) ; Second reconciling item (gross amount)
Net effect of a reconciling item (amount − tax effect − effect on non-controlling interests)
Calculation
270,000
Gross amount of a reconciling item ; − Income tax effect of the item ; − Effect of the item on non-controlling interests

Judgment: identification of a management-defined performance measure

Judgment

IFRS 18IFRS 18

Nature of the published measure
JudgmentRequired
Not applicable
Management-defined performance measure / Subtotal specified by a standard: not a management-defined measure / Not a subtotal of income and expenses / Not used in communications outside the financial statements / Not applicable
Professional judgment: the measure and its items are choices of management; they are not imposed by the standard.
Rationale: subtotal of income and expenses, public use, management view of the performance of the entity as a whole, absence from the list of specified subtotals
Text

Items to document for the note on the performance measure

Disclosure

IFRS 18

Information to prepare on the performance measure
Checklist
- Information given in the notes
- Description of the measure and of the aspect of performance it communicates
- Reconciliation to the most directly comparable specified subtotal
- Income tax effect and effect on non-controlling interests of each item, and how the tax effect was determined

Conclusion

Chain of subtotals down to profit for the period, judgment on the published measure, reconciliation with the income tax effect and the effect on non-controlling interests
ConclusionRequired

Normative references

References

Normative references cited in this workpaper
References

Checks and financial statement impact

Source of the amounts describedPass
Measure judged and supportedPass
Recomputed profit = profit per the accounting records (classification does not change profit)Not evaluated

Assets: 0
Liabilities: 0
Profit or loss: 0
OCI: 0
Equity: 0

File and entity

Management-defined performance measures: definition, excluded subtotals, reconciliation, tax and non-controlling interest effects

Case tasks documented here

Which of the 5 measures of the release are management-defined performance measures?
Compute the measure "adjusted operating profit".
Compute the net effect of tax and non-controlling interests of the restructuring.
Compute the net effect of tax and non-controlling interests of the amortisation of acquired intangibles.

Facts and data

Inputs

Income and expenses classified by category: source of the amounts and sign conventions
TextRequired
RECONCILING_ITEM_OF_THE_ADJUSTED_OPERATING_PROFIT
Measure published outside the financial statements: definition, place of publication, items excluded or added
Text
AMORTISATION_OF_INTANGIBLES_ACQUIRED_IN_BUSINESS_COMBINATIONS
Revenue
Number
Other income of the operating category
Number
Expenses of the operating category (total)
Number
Net income of the investing category
Number
Net expenses of the financing category
Number
Income tax expense
Number
Result of discontinued operations (profit)
Number
Profit per the accounting records, before reclassification
Number
Most directly comparable specified subtotal
Number
First reconciling item (gross amount)
Number
Second reconciling item (gross amount)
Number
Gross amount of a reconciling item
Number
260,000
Income tax effect of the item
Number
65,000
Effect of the item on non-controlling interests
Number
19,500

Supporting documents

Evidence

Documents obtained and referenced (income statement, earnings release, tax policy of the simplified approach)
EvidenceRequired

Analysis of the subtotals and the performance measure

Analysis

IFRS 18IFRS 18

Points examined: subtotals and performance measure
ChecklistRequired
- Operating profit = total of the income and expenses of the operating category
- Profit before financing and income taxes = operating profit + income and expenses of the investing category
- The investing category is not part of operating profit
- After financing, income taxes and discontinued operations, profit for the period is obtained
- A total or subtotal required by IFRS 18 or another standard (paragraph 118) is not a management-defined performance measure
- Measure reconciled to the most directly comparable specified subtotal, with the income tax effect and the effect on non-controlling interests of each item

Calculations

IFRS 18IFRS 18

Operating profit (income − expenses of the operating category)
Calculation
0
Revenue ; Other income of the operating category ; − Expenses of the operating category (total)
Profit before financing and income taxes
Calculation
0
Operating profit (income − expenses of the operating category) ; Net income of the investing category
Profit before income taxes (after the net financing expenses)
Calculation
0
Profit before financing and income taxes ; − Net expenses of the financing category
Profit for the period (after income taxes and discontinued operations)
Calculation
0
Profit before income taxes (after the net financing expenses) ; − Income tax expense ; Result of discontinued operations (profit)
Management-defined performance measure (specified subtotal + reconciling items)
Calculation
0
Most directly comparable specified subtotal ; First reconciling item (gross amount) ; Second reconciling item (gross amount)
Net effect of a reconciling item (amount − tax effect − effect on non-controlling interests)
Calculation
175,500
Gross amount of a reconciling item ; − Income tax effect of the item ; − Effect of the item on non-controlling interests

Judgment: identification of a management-defined performance measure

Judgment

IFRS 18IFRS 18

Nature of the published measure
JudgmentRequired
Not applicable
Management-defined performance measure / Subtotal specified by a standard: not a management-defined measure / Not a subtotal of income and expenses / Not used in communications outside the financial statements / Not applicable
Professional judgment: the measure and its items are choices of management; they are not imposed by the standard.
Rationale: subtotal of income and expenses, public use, management view of the performance of the entity as a whole, absence from the list of specified subtotals
Text

Items to document for the note on the performance measure

Disclosure

IFRS 18

Information to prepare on the performance measure
Checklist
- Information given in the notes
- Description of the measure and of the aspect of performance it communicates
- Reconciliation to the most directly comparable specified subtotal
- Income tax effect and effect on non-controlling interests of each item, and how the tax effect was determined

Conclusion

Chain of subtotals down to profit for the period, judgment on the published measure, reconciliation with the income tax effect and the effect on non-controlling interests
ConclusionRequired

Normative references

References

Normative references cited in this workpaper
References

Checks and financial statement impact

Source of the amounts describedPass
Measure judged and supportedPass
Recomputed profit = profit per the accounting records (classification does not change profit)Not evaluated

Assets: 0
Liabilities: 0
Profit or loss: 0
OCI: 0
Equity: 0

File and entity

Management-defined performance measures: definition, excluded subtotals, reconciliation, tax and non-controlling interest effects

Case tasks documented here

Which of the 5 measures of the release are management-defined performance measures?
Compute the measure "adjusted operating profit".
Compute the net effect of tax and non-controlling interests of the restructuring.
Compute the net effect of tax and non-controlling interests of the amortisation of acquired intangibles.

Facts and data

Inputs

Income and expenses classified by category: source of the amounts and sign conventions
TextRequired
OPERATING_PROFIT_AS_PRESENTED_IN_THE_STATEMENT_OF_PROFIT_OR_LOSS
Measure published outside the financial statements: definition, place of publication, items excluded or added
Text
Revenue
Number
Other income of the operating category
Number
Expenses of the operating category (total)
Number
Net income of the investing category
Number
Net expenses of the financing category
Number
Income tax expense
Number
Result of discontinued operations (profit)
Number
Profit per the accounting records, before reclassification
Number
Most directly comparable specified subtotal
Number
First reconciling item (gross amount)
Number
Second reconciling item (gross amount)
Number
Gross amount of a reconciling item
Number
Income tax effect of the item
Number
Effect of the item on non-controlling interests
Number

Supporting documents

Evidence

Documents obtained and referenced (income statement, earnings release, tax policy of the simplified approach)
EvidenceRequired

Analysis of the subtotals and the performance measure

Analysis

IFRS 18IFRS 18

Points examined: subtotals and performance measure
ChecklistRequired
- Operating profit = total of the income and expenses of the operating category
- Profit before financing and income taxes = operating profit + income and expenses of the investing category
- The investing category is not part of operating profit
- After financing, income taxes and discontinued operations, profit for the period is obtained
- A total or subtotal required by IFRS 18 or another standard (paragraph 118) is not a management-defined performance measure
- Measure reconciled to the most directly comparable specified subtotal, with the income tax effect and the effect on non-controlling interests of each item

Calculations

IFRS 18IFRS 18

Operating profit (income − expenses of the operating category)
Calculation
0
Revenue ; Other income of the operating category ; − Expenses of the operating category (total)
Profit before financing and income taxes
Calculation
0
Operating profit (income − expenses of the operating category) ; Net income of the investing category
Profit before income taxes (after the net financing expenses)
Calculation
0
Profit before financing and income taxes ; − Net expenses of the financing category
Profit for the period (after income taxes and discontinued operations)
Calculation
0
Profit before income taxes (after the net financing expenses) ; − Income tax expense ; Result of discontinued operations (profit)
Management-defined performance measure (specified subtotal + reconciling items)
Calculation
0
Most directly comparable specified subtotal ; First reconciling item (gross amount) ; Second reconciling item (gross amount)
Net effect of a reconciling item (amount − tax effect − effect on non-controlling interests)
Calculation
0
Gross amount of a reconciling item ; − Income tax effect of the item ; − Effect of the item on non-controlling interests

Judgment: identification of a management-defined performance measure

Judgment

IFRS 18IFRS 18

Nature of the published measure
JudgmentRequired
Subtotal specified by a standard: not a management-defined measure
Management-defined performance measure / Subtotal specified by a standard: not a management-defined measure / Not a subtotal of income and expenses / Not used in communications outside the financial statements / Not applicable
Professional judgment: the measure and its items are choices of management; they are not imposed by the standard.
Rationale: subtotal of income and expenses, public use, management view of the performance of the entity as a whole, absence from the list of specified subtotals
Text
SUBTOTAL_REQUIRED_BY_IFRS_18_AND_LISTED_AMONG_THE_TOTALS_THAT_ARE_NOT_MEASURES_OF_MANAGEMENT

Items to document for the note on the performance measure

Disclosure

IFRS 18

Information to prepare on the performance measure
Checklist
- Information given in the notes
- Description of the measure and of the aspect of performance it communicates
- Reconciliation to the most directly comparable specified subtotal
- Income tax effect and effect on non-controlling interests of each item, and how the tax effect was determined

Conclusion

Chain of subtotals down to profit for the period, judgment on the published measure, reconciliation with the income tax effect and the effect on non-controlling interests
ConclusionRequired

Normative references

References

Normative references cited in this workpaper
References

Checks and financial statement impact

Source of the amounts describedPass
Measure judged and supportedPass
Recomputed profit = profit per the accounting records (classification does not change profit)Not evaluated

Assets: 0
Liabilities: 0
Profit or loss: 0
OCI: 0
Equity: 0

File and entity

Management-defined performance measures: definition, excluded subtotals, reconciliation, tax and non-controlling interest effects

Case tasks documented here

Which of the 5 measures of the release are management-defined performance measures?
Compute the measure "adjusted operating profit".
Compute the net effect of tax and non-controlling interests of the restructuring.
Compute the net effect of tax and non-controlling interests of the amortisation of acquired intangibles.

Facts and data

Inputs

Income and expenses classified by category: source of the amounts and sign conventions
TextRequired
NET_DEBT_IN_THE_EARNINGS_RELEASE
Measure published outside the financial statements: definition, place of publication, items excluded or added
Text
Revenue
Number
Other income of the operating category
Number
Expenses of the operating category (total)
Number
Net income of the investing category
Number
Net expenses of the financing category
Number
Income tax expense
Number
Result of discontinued operations (profit)
Number
Profit per the accounting records, before reclassification
Number
Most directly comparable specified subtotal
Number
First reconciling item (gross amount)
Number
Second reconciling item (gross amount)
Number
Gross amount of a reconciling item
Number
Income tax effect of the item
Number
Effect of the item on non-controlling interests
Number

Supporting documents

Evidence

Documents obtained and referenced (income statement, earnings release, tax policy of the simplified approach)
EvidenceRequired

Analysis of the subtotals and the performance measure

Analysis

IFRS 18IFRS 18

Points examined: subtotals and performance measure
ChecklistRequired
- Operating profit = total of the income and expenses of the operating category
- Profit before financing and income taxes = operating profit + income and expenses of the investing category
- The investing category is not part of operating profit
- After financing, income taxes and discontinued operations, profit for the period is obtained
- A total or subtotal required by IFRS 18 or another standard (paragraph 118) is not a management-defined performance measure
- Measure reconciled to the most directly comparable specified subtotal, with the income tax effect and the effect on non-controlling interests of each item

Calculations

IFRS 18IFRS 18

Operating profit (income − expenses of the operating category)
Calculation
0
Revenue ; Other income of the operating category ; − Expenses of the operating category (total)
Profit before financing and income taxes
Calculation
0
Operating profit (income − expenses of the operating category) ; Net income of the investing category
Profit before income taxes (after the net financing expenses)
Calculation
0
Profit before financing and income taxes ; − Net expenses of the financing category
Profit for the period (after income taxes and discontinued operations)
Calculation
0
Profit before income taxes (after the net financing expenses) ; − Income tax expense ; Result of discontinued operations (profit)
Management-defined performance measure (specified subtotal + reconciling items)
Calculation
0
Most directly comparable specified subtotal ; First reconciling item (gross amount) ; Second reconciling item (gross amount)
Net effect of a reconciling item (amount − tax effect − effect on non-controlling interests)
Calculation
0
Gross amount of a reconciling item ; − Income tax effect of the item ; − Effect of the item on non-controlling interests

Judgment: identification of a management-defined performance measure

Judgment

IFRS 18IFRS 18

Nature of the published measure
JudgmentRequired
Not a subtotal of income and expenses
Management-defined performance measure / Subtotal specified by a standard: not a management-defined measure / Not a subtotal of income and expenses / Not used in communications outside the financial statements / Not applicable
Professional judgment: the measure and its items are choices of management; they are not imposed by the standard.
Rationale: subtotal of income and expenses, public use, management view of the performance of the entity as a whole, absence from the list of specified subtotals
Text
A_BALANCE_SHEET_AMOUNT_AND_NOT_A_SUBTOTAL_OF_INCOME_AND_EXPENSES

Items to document for the note on the performance measure

Disclosure

IFRS 18

Information to prepare on the performance measure
Checklist
- Information given in the notes
- Description of the measure and of the aspect of performance it communicates
- Reconciliation to the most directly comparable specified subtotal
- Income tax effect and effect on non-controlling interests of each item, and how the tax effect was determined

Conclusion

Chain of subtotals down to profit for the period, judgment on the published measure, reconciliation with the income tax effect and the effect on non-controlling interests
ConclusionRequired

Normative references

References

Normative references cited in this workpaper
References

Checks and financial statement impact

Source of the amounts describedPass
Measure judged and supportedPass
Recomputed profit = profit per the accounting records (classification does not change profit)Not evaluated

Assets: 0
Liabilities: 0
Profit or loss: 0
OCI: 0
Equity: 0

File and entity

IFRS 18 transition file of an industrial group: classification by category, subtotals, performance measures, restated comparative

Case tasks documented here

Compute the operating profit of the restated comparative.
Compute profit before financing and income taxes.
Compute profit before income taxes.
Compute profit for the period.
Is "adjusted operating profit" a management-defined performance measure? And operating profit?
Compute the measure "adjusted operating profit".
Compute the net effect of tax and non-controlling interests of the restructuring.
Compute the net effect of tax and non-controlling interests of the litigation settlement.

Facts and data

Inputs

Income and expenses classified by category: source of the amounts and sign conventions
TextRequired
AMOUNTS_OF_THE_2026_COMPARATIVE_AFTER_THE_RECLASSIFICATION
Measure published outside the financial statements: definition, place of publication, items excluded or added
Text
Revenue
Number
62,000,000
Other income of the operating category
Number
320,000
Expenses of the operating category (total)
Number
49,480,000
Net income of the investing category
Number
500,000
Net expenses of the financing category
Number
1,180,000
Income tax expense
Number
3,040,000
Result of discontinued operations (profit)
Number
180,000
Profit per the accounting records, before reclassification
Number
Most directly comparable specified subtotal
Number
First reconciling item (gross amount)
Number
Second reconciling item (gross amount)
Number
Gross amount of a reconciling item
Number
Income tax effect of the item
Number
Effect of the item on non-controlling interests
Number

Supporting documents

Evidence

Documents obtained and referenced (income statement, earnings release, tax policy of the simplified approach)
EvidenceRequired

Analysis of the subtotals and the performance measure

Analysis

IFRS 18IFRS 18

Points examined: subtotals and performance measure
ChecklistRequired
- Operating profit = total of the income and expenses of the operating category
- Profit before financing and income taxes = operating profit + income and expenses of the investing category
- The investing category is not part of operating profit
- After financing, income taxes and discontinued operations, profit for the period is obtained
- A total or subtotal required by IFRS 18 or another standard (paragraph 118) is not a management-defined performance measure
- Measure reconciled to the most directly comparable specified subtotal, with the income tax effect and the effect on non-controlling interests of each item

Calculations

IFRS 18IFRS 18

Operating profit (income − expenses of the operating category)
Calculation
12,840,000
Revenue ; Other income of the operating category ; − Expenses of the operating category (total)
Profit before financing and income taxes
Calculation
13,340,000
Operating profit (income − expenses of the operating category) ; Net income of the investing category
Profit before income taxes (after the net financing expenses)
Calculation
12,160,000
Profit before financing and income taxes ; − Net expenses of the financing category
Profit for the period (after income taxes and discontinued operations)
Calculation
9,300,000
Profit before income taxes (after the net financing expenses) ; − Income tax expense ; Result of discontinued operations (profit)
Management-defined performance measure (specified subtotal + reconciling items)
Calculation
0
Most directly comparable specified subtotal ; First reconciling item (gross amount) ; Second reconciling item (gross amount)
Net effect of a reconciling item (amount − tax effect − effect on non-controlling interests)
Calculation
0
Gross amount of a reconciling item ; − Income tax effect of the item ; − Effect of the item on non-controlling interests

Judgment: identification of a management-defined performance measure

Judgment

IFRS 18IFRS 18

Nature of the published measure
JudgmentRequired
Not applicable
Management-defined performance measure / Subtotal specified by a standard: not a management-defined measure / Not a subtotal of income and expenses / Not used in communications outside the financial statements / Not applicable
Professional judgment: the measure and its items are choices of management; they are not imposed by the standard.
Rationale: subtotal of income and expenses, public use, management view of the performance of the entity as a whole, absence from the list of specified subtotals
Text

Items to document for the note on the performance measure

Disclosure

IFRS 18

Information to prepare on the performance measure
Checklist
- Information given in the notes
- Description of the measure and of the aspect of performance it communicates
- Reconciliation to the most directly comparable specified subtotal
- Income tax effect and effect on non-controlling interests of each item, and how the tax effect was determined

Conclusion

Chain of subtotals down to profit for the period, judgment on the published measure, reconciliation with the income tax effect and the effect on non-controlling interests
ConclusionRequired

Normative references

References

Normative references cited in this workpaper
References

Checks and financial statement impact

Source of the amounts describedPass
Measure judged and supportedPass
Recomputed profit = profit per the accounting records (classification does not change profit)Not evaluated

Assets: 0
Liabilities: 0
Profit or loss: 0
OCI: 0
Equity: 0

File and entity

IFRS 18 transition file of an industrial group: classification by category, subtotals, performance measures, restated comparative

Case tasks documented here

Compute the operating profit of the restated comparative.
Compute profit before financing and income taxes.
Compute profit before income taxes.
Compute profit for the period.
Is "adjusted operating profit" a management-defined performance measure? And operating profit?
Compute the measure "adjusted operating profit".
Compute the net effect of tax and non-controlling interests of the restructuring.
Compute the net effect of tax and non-controlling interests of the litigation settlement.

Facts and data

Inputs

Income and expenses classified by category: source of the amounts and sign conventions
TextRequired
SUBTOTAL_OF_INCOME_AND_EXPENSES_PUBLISHED_IN_THE_EARNINGS_RELEASE
Measure published outside the financial statements: definition, place of publication, items excluded or added
Text
ADJUSTED_OPERATING_PROFIT_IN_THE_EARNINGS_RELEASE
Revenue
Number
Other income of the operating category
Number
Expenses of the operating category (total)
Number
Net income of the investing category
Number
Net expenses of the financing category
Number
Income tax expense
Number
Result of discontinued operations (profit)
Number
Profit per the accounting records, before reclassification
Number
Most directly comparable specified subtotal
Number
12,840,000
First reconciling item (gross amount)
Number
380,000
Second reconciling item (gross amount)
Number
300,000
Gross amount of a reconciling item
Number
Income tax effect of the item
Number
Effect of the item on non-controlling interests
Number

Supporting documents

Evidence

Documents obtained and referenced (income statement, earnings release, tax policy of the simplified approach)
EvidenceRequired

Analysis of the subtotals and the performance measure

Analysis

IFRS 18IFRS 18

Points examined: subtotals and performance measure
ChecklistRequired
- Operating profit = total of the income and expenses of the operating category
- Profit before financing and income taxes = operating profit + income and expenses of the investing category
- The investing category is not part of operating profit
- After financing, income taxes and discontinued operations, profit for the period is obtained
- A total or subtotal required by IFRS 18 or another standard (paragraph 118) is not a management-defined performance measure
- Measure reconciled to the most directly comparable specified subtotal, with the income tax effect and the effect on non-controlling interests of each item

Calculations

IFRS 18IFRS 18

Operating profit (income − expenses of the operating category)
Calculation
0
Revenue ; Other income of the operating category ; − Expenses of the operating category (total)
Profit before financing and income taxes
Calculation
0
Operating profit (income − expenses of the operating category) ; Net income of the investing category
Profit before income taxes (after the net financing expenses)
Calculation
0
Profit before financing and income taxes ; − Net expenses of the financing category
Profit for the period (after income taxes and discontinued operations)
Calculation
0
Profit before income taxes (after the net financing expenses) ; − Income tax expense ; Result of discontinued operations (profit)
Management-defined performance measure (specified subtotal + reconciling items)
Calculation
13,520,000
Most directly comparable specified subtotal ; First reconciling item (gross amount) ; Second reconciling item (gross amount)
Net effect of a reconciling item (amount − tax effect − effect on non-controlling interests)
Calculation
0
Gross amount of a reconciling item ; − Income tax effect of the item ; − Effect of the item on non-controlling interests

Judgment: identification of a management-defined performance measure

Judgment

IFRS 18IFRS 18

Nature of the published measure
JudgmentRequired
Management-defined performance measure
Management-defined performance measure / Subtotal specified by a standard: not a management-defined measure / Not a subtotal of income and expenses / Not used in communications outside the financial statements / Not applicable
Professional judgment: the measure and its items are choices of management; they are not imposed by the standard.
Rationale: subtotal of income and expenses, public use, management view of the performance of the entity as a whole, absence from the list of specified subtotals
Text
PUBLIC_SUBTOTAL_REFLECTING_THE_VIEW_OF_MANAGEMENT_AND_NOT_SPECIFIED_BY_THE_STANDARDS

Items to document for the note on the performance measure

Disclosure

IFRS 18

Information to prepare on the performance measure
Checklist
- Information given in the notes
- Description of the measure and of the aspect of performance it communicates
- Reconciliation to the most directly comparable specified subtotal
- Income tax effect and effect on non-controlling interests of each item, and how the tax effect was determined

Conclusion

Chain of subtotals down to profit for the period, judgment on the published measure, reconciliation with the income tax effect and the effect on non-controlling interests
ConclusionRequired

Normative references

References

Normative references cited in this workpaper
References

Checks and financial statement impact

Source of the amounts describedPass
Measure judged and supportedPass
Recomputed profit = profit per the accounting records (classification does not change profit)Not evaluated

Assets: 0
Liabilities: 0
Profit or loss: 0
OCI: 0
Equity: 0

File and entity

IFRS 18 transition file of an industrial group: classification by category, subtotals, performance measures, restated comparative

Case tasks documented here

Compute the operating profit of the restated comparative.
Compute profit before financing and income taxes.
Compute profit before income taxes.
Compute profit for the period.
Is "adjusted operating profit" a management-defined performance measure? And operating profit?
Compute the measure "adjusted operating profit".
Compute the net effect of tax and non-controlling interests of the restructuring.
Compute the net effect of tax and non-controlling interests of the litigation settlement.

Facts and data

Inputs

Income and expenses classified by category: source of the amounts and sign conventions
TextRequired
RECONCILING_ITEM_OF_THE_ADJUSTED_OPERATING_PROFIT
Measure published outside the financial statements: definition, place of publication, items excluded or added
Text
RESTRUCTURING_COSTS_WITH_A_NON_CONTROLLING_INTEREST_SHARE
Revenue
Number
Other income of the operating category
Number
Expenses of the operating category (total)
Number
Net income of the investing category
Number
Net expenses of the financing category
Number
Income tax expense
Number
Result of discontinued operations (profit)
Number
Profit per the accounting records, before reclassification
Number
Most directly comparable specified subtotal
Number
First reconciling item (gross amount)
Number
Second reconciling item (gross amount)
Number
Gross amount of a reconciling item
Number
380,000
Income tax effect of the item
Number
95,000
Effect of the item on non-controlling interests
Number
28,500

Supporting documents

Evidence

Documents obtained and referenced (income statement, earnings release, tax policy of the simplified approach)
EvidenceRequired

Analysis of the subtotals and the performance measure

Analysis

IFRS 18IFRS 18

Points examined: subtotals and performance measure
ChecklistRequired
- Operating profit = total of the income and expenses of the operating category
- Profit before financing and income taxes = operating profit + income and expenses of the investing category
- The investing category is not part of operating profit
- After financing, income taxes and discontinued operations, profit for the period is obtained
- A total or subtotal required by IFRS 18 or another standard (paragraph 118) is not a management-defined performance measure
- Measure reconciled to the most directly comparable specified subtotal, with the income tax effect and the effect on non-controlling interests of each item

Calculations

IFRS 18IFRS 18

Operating profit (income − expenses of the operating category)
Calculation
0
Revenue ; Other income of the operating category ; − Expenses of the operating category (total)
Profit before financing and income taxes
Calculation
0
Operating profit (income − expenses of the operating category) ; Net income of the investing category
Profit before income taxes (after the net financing expenses)
Calculation
0
Profit before financing and income taxes ; − Net expenses of the financing category
Profit for the period (after income taxes and discontinued operations)
Calculation
0
Profit before income taxes (after the net financing expenses) ; − Income tax expense ; Result of discontinued operations (profit)
Management-defined performance measure (specified subtotal + reconciling items)
Calculation
0
Most directly comparable specified subtotal ; First reconciling item (gross amount) ; Second reconciling item (gross amount)
Net effect of a reconciling item (amount − tax effect − effect on non-controlling interests)
Calculation
256,500
Gross amount of a reconciling item ; − Income tax effect of the item ; − Effect of the item on non-controlling interests

Judgment: identification of a management-defined performance measure

Judgment

IFRS 18IFRS 18

Nature of the published measure
JudgmentRequired
Not applicable
Management-defined performance measure / Subtotal specified by a standard: not a management-defined measure / Not a subtotal of income and expenses / Not used in communications outside the financial statements / Not applicable
Professional judgment: the measure and its items are choices of management; they are not imposed by the standard.
Rationale: subtotal of income and expenses, public use, management view of the performance of the entity as a whole, absence from the list of specified subtotals
Text

Items to document for the note on the performance measure

Disclosure

IFRS 18

Information to prepare on the performance measure
Checklist
- Information given in the notes
- Description of the measure and of the aspect of performance it communicates
- Reconciliation to the most directly comparable specified subtotal
- Income tax effect and effect on non-controlling interests of each item, and how the tax effect was determined

Conclusion

Chain of subtotals down to profit for the period, judgment on the published measure, reconciliation with the income tax effect and the effect on non-controlling interests
ConclusionRequired

Normative references

References

Normative references cited in this workpaper
References

Checks and financial statement impact

Source of the amounts describedPass
Measure judged and supportedPass
Recomputed profit = profit per the accounting records (classification does not change profit)Not evaluated

Assets: 0
Liabilities: 0
Profit or loss: 0
OCI: 0
Equity: 0

File and entity

IFRS 18 transition file of an industrial group: classification by category, subtotals, performance measures, restated comparative

Case tasks documented here

Compute the operating profit of the restated comparative.
Compute profit before financing and income taxes.
Compute profit before income taxes.
Compute profit for the period.
Is "adjusted operating profit" a management-defined performance measure? And operating profit?
Compute the measure "adjusted operating profit".
Compute the net effect of tax and non-controlling interests of the restructuring.
Compute the net effect of tax and non-controlling interests of the litigation settlement.

Facts and data

Inputs

Income and expenses classified by category: source of the amounts and sign conventions
TextRequired
RECONCILING_ITEM_OF_THE_ADJUSTED_OPERATING_PROFIT
Measure published outside the financial statements: definition, place of publication, items excluded or added
Text
LITIGATION_SETTLEMENT_WITH_A_NON_CONTROLLING_INTEREST_SHARE
Revenue
Number
Other income of the operating category
Number
Expenses of the operating category (total)
Number
Net income of the investing category
Number
Net expenses of the financing category
Number
Income tax expense
Number
Result of discontinued operations (profit)
Number
Profit per the accounting records, before reclassification
Number
Most directly comparable specified subtotal
Number
First reconciling item (gross amount)
Number
Second reconciling item (gross amount)
Number
Gross amount of a reconciling item
Number
300,000
Income tax effect of the item
Number
75,000
Effect of the item on non-controlling interests
Number
22,500

Supporting documents

Evidence

Documents obtained and referenced (income statement, earnings release, tax policy of the simplified approach)
EvidenceRequired

Analysis of the subtotals and the performance measure

Analysis

IFRS 18IFRS 18

Points examined: subtotals and performance measure
ChecklistRequired
- Operating profit = total of the income and expenses of the operating category
- Profit before financing and income taxes = operating profit + income and expenses of the investing category
- The investing category is not part of operating profit
- After financing, income taxes and discontinued operations, profit for the period is obtained
- A total or subtotal required by IFRS 18 or another standard (paragraph 118) is not a management-defined performance measure
- Measure reconciled to the most directly comparable specified subtotal, with the income tax effect and the effect on non-controlling interests of each item

Calculations

IFRS 18IFRS 18

Operating profit (income − expenses of the operating category)
Calculation
0
Revenue ; Other income of the operating category ; − Expenses of the operating category (total)
Profit before financing and income taxes
Calculation
0
Operating profit (income − expenses of the operating category) ; Net income of the investing category
Profit before income taxes (after the net financing expenses)
Calculation
0
Profit before financing and income taxes ; − Net expenses of the financing category
Profit for the period (after income taxes and discontinued operations)
Calculation
0
Profit before income taxes (after the net financing expenses) ; − Income tax expense ; Result of discontinued operations (profit)
Management-defined performance measure (specified subtotal + reconciling items)
Calculation
0
Most directly comparable specified subtotal ; First reconciling item (gross amount) ; Second reconciling item (gross amount)
Net effect of a reconciling item (amount − tax effect − effect on non-controlling interests)
Calculation
202,500
Gross amount of a reconciling item ; − Income tax effect of the item ; − Effect of the item on non-controlling interests

Judgment: identification of a management-defined performance measure

Judgment

IFRS 18IFRS 18

Nature of the published measure
JudgmentRequired
Not applicable
Management-defined performance measure / Subtotal specified by a standard: not a management-defined measure / Not a subtotal of income and expenses / Not used in communications outside the financial statements / Not applicable
Professional judgment: the measure and its items are choices of management; they are not imposed by the standard.
Rationale: subtotal of income and expenses, public use, management view of the performance of the entity as a whole, absence from the list of specified subtotals
Text

Items to document for the note on the performance measure

Disclosure

IFRS 18

Information to prepare on the performance measure
Checklist
- Information given in the notes
- Description of the measure and of the aspect of performance it communicates
- Reconciliation to the most directly comparable specified subtotal
- Income tax effect and effect on non-controlling interests of each item, and how the tax effect was determined

Conclusion

Chain of subtotals down to profit for the period, judgment on the published measure, reconciliation with the income tax effect and the effect on non-controlling interests
ConclusionRequired

Normative references

References

Normative references cited in this workpaper
References

Checks and financial statement impact

Source of the amounts describedPass
Measure judged and supportedPass
Recomputed profit = profit per the accounting records (classification does not change profit)Not evaluated

Assets: 0
Liabilities: 0
Profit or loss: 0
OCI: 0
Equity: 0

File and entity

IFRS 18 transition file of an industrial group: classification by category, subtotals, performance measures, restated comparative

Case tasks documented here

Compute the operating profit of the restated comparative.
Compute profit before financing and income taxes.
Compute profit before income taxes.
Compute profit for the period.
Is "adjusted operating profit" a management-defined performance measure? And operating profit?
Compute the measure "adjusted operating profit".
Compute the net effect of tax and non-controlling interests of the restructuring.
Compute the net effect of tax and non-controlling interests of the litigation settlement.

Facts and data

Inputs

Income and expenses classified by category: source of the amounts and sign conventions
TextRequired
OPERATING_PROFIT_AS_PRESENTED_IN_THE_STATEMENT_OF_PROFIT_OR_LOSS
Measure published outside the financial statements: definition, place of publication, items excluded or added
Text
Revenue
Number
Other income of the operating category
Number
Expenses of the operating category (total)
Number
Net income of the investing category
Number
Net expenses of the financing category
Number
Income tax expense
Number
Result of discontinued operations (profit)
Number
Profit per the accounting records, before reclassification
Number
Most directly comparable specified subtotal
Number
First reconciling item (gross amount)
Number
Second reconciling item (gross amount)
Number
Gross amount of a reconciling item
Number
Income tax effect of the item
Number
Effect of the item on non-controlling interests
Number

Supporting documents

Evidence

Documents obtained and referenced (income statement, earnings release, tax policy of the simplified approach)
EvidenceRequired

Analysis of the subtotals and the performance measure

Analysis

IFRS 18IFRS 18

Points examined: subtotals and performance measure
ChecklistRequired
- Operating profit = total of the income and expenses of the operating category
- Profit before financing and income taxes = operating profit + income and expenses of the investing category
- The investing category is not part of operating profit
- After financing, income taxes and discontinued operations, profit for the period is obtained
- A total or subtotal required by IFRS 18 or another standard (paragraph 118) is not a management-defined performance measure
- Measure reconciled to the most directly comparable specified subtotal, with the income tax effect and the effect on non-controlling interests of each item

Calculations

IFRS 18IFRS 18

Operating profit (income − expenses of the operating category)
Calculation
0
Revenue ; Other income of the operating category ; − Expenses of the operating category (total)
Profit before financing and income taxes
Calculation
0
Operating profit (income − expenses of the operating category) ; Net income of the investing category
Profit before income taxes (after the net financing expenses)
Calculation
0
Profit before financing and income taxes ; − Net expenses of the financing category
Profit for the period (after income taxes and discontinued operations)
Calculation
0
Profit before income taxes (after the net financing expenses) ; − Income tax expense ; Result of discontinued operations (profit)
Management-defined performance measure (specified subtotal + reconciling items)
Calculation
0
Most directly comparable specified subtotal ; First reconciling item (gross amount) ; Second reconciling item (gross amount)
Net effect of a reconciling item (amount − tax effect − effect on non-controlling interests)
Calculation
0
Gross amount of a reconciling item ; − Income tax effect of the item ; − Effect of the item on non-controlling interests

Judgment: identification of a management-defined performance measure

Judgment

IFRS 18IFRS 18

Nature of the published measure
JudgmentRequired
Subtotal specified by a standard: not a management-defined measure
Management-defined performance measure / Subtotal specified by a standard: not a management-defined measure / Not a subtotal of income and expenses / Not used in communications outside the financial statements / Not applicable
Professional judgment: the measure and its items are choices of management; they are not imposed by the standard.
Rationale: subtotal of income and expenses, public use, management view of the performance of the entity as a whole, absence from the list of specified subtotals
Text
SUBTOTAL_REQUIRED_BY_IFRS_18_AND_LISTED_AMONG_THE_TOTALS_THAT_ARE_NOT_MEASURES_OF_MANAGEMENT

Items to document for the note on the performance measure

Disclosure

IFRS 18

Information to prepare on the performance measure
Checklist
- Information given in the notes
- Description of the measure and of the aspect of performance it communicates
- Reconciliation to the most directly comparable specified subtotal
- Income tax effect and effect on non-controlling interests of each item, and how the tax effect was determined

Conclusion

Chain of subtotals down to profit for the period, judgment on the published measure, reconciliation with the income tax effect and the effect on non-controlling interests
ConclusionRequired

Normative references

References

Normative references cited in this workpaper
References

Checks and financial statement impact

Source of the amounts describedPass
Measure judged and supportedPass
Recomputed profit = profit per the accounting records (classification does not change profit)Not evaluated

Assets: 0
Liabilities: 0
Profit or loss: 0
OCI: 0
Equity: 0

Facts and data

Inputs

Income and expenses classified by category: source of the amounts and sign conventions
TextRequired
Measure published outside the financial statements: definition, place of publication, items excluded or added
Text
Revenue
Number
Other income of the operating category
Number
Expenses of the operating category (total)
Number
Net income of the investing category
Number
Net expenses of the financing category
Number
Income tax expense
Number
Result of discontinued operations (profit)
Number
Profit per the accounting records, before reclassification
Number
Most directly comparable specified subtotal
Number
First reconciling item (gross amount)
Number
Second reconciling item (gross amount)
Number
Gross amount of a reconciling item
Number
Income tax effect of the item
Number
Effect of the item on non-controlling interests
Number

Supporting documents

Evidence

Documents obtained and referenced (income statement, earnings release, tax policy of the simplified approach)
EvidenceRequired

Analysis of the subtotals and the performance measure

Analysis

IFRS 18IFRS 18

Points examined: subtotals and performance measure
ChecklistRequired
- Operating profit = total of the income and expenses of the operating category
- Profit before financing and income taxes = operating profit + income and expenses of the investing category
- The investing category is not part of operating profit
- After financing, income taxes and discontinued operations, profit for the period is obtained
- A total or subtotal required by IFRS 18 or another standard (paragraph 118) is not a management-defined performance measure
- Measure reconciled to the most directly comparable specified subtotal, with the income tax effect and the effect on non-controlling interests of each item

Calculations

IFRS 18IFRS 18

Operating profit (income − expenses of the operating category)
Calculation
Revenue ; Other income of the operating category ; − Expenses of the operating category (total)
Profit before financing and income taxes
Calculation
Operating profit (income − expenses of the operating category) ; Net income of the investing category
Profit before income taxes (after the net financing expenses)
Calculation
Profit before financing and income taxes ; − Net expenses of the financing category
Profit for the period (after income taxes and discontinued operations)
Calculation
Profit before income taxes (after the net financing expenses) ; − Income tax expense ; Result of discontinued operations (profit)
Management-defined performance measure (specified subtotal + reconciling items)
Calculation
Most directly comparable specified subtotal ; First reconciling item (gross amount) ; Second reconciling item (gross amount)
Net effect of a reconciling item (amount − tax effect − effect on non-controlling interests)
Calculation
Gross amount of a reconciling item ; − Income tax effect of the item ; − Effect of the item on non-controlling interests

Judgment: identification of a management-defined performance measure

Judgment

IFRS 18IFRS 18

Nature of the published measure
JudgmentRequired
Management-defined performance measure / Subtotal specified by a standard: not a management-defined measure / Not a subtotal of income and expenses / Not used in communications outside the financial statements / Not applicable
Professional judgment: the measure and its items are choices of management; they are not imposed by the standard.
Rationale: subtotal of income and expenses, public use, management view of the performance of the entity as a whole, absence from the list of specified subtotals
Text

Items to document for the note on the performance measure

Disclosure

IFRS 18

Information to prepare on the performance measure
Checklist
- Information given in the notes
- Description of the measure and of the aspect of performance it communicates
- Reconciliation to the most directly comparable specified subtotal
- Income tax effect and effect on non-controlling interests of each item, and how the tax effect was determined

Conclusion

Chain of subtotals down to profit for the period, judgment on the published measure, reconciliation with the income tax effect and the effect on non-controlling interests
ConclusionRequired

Normative references

References

Normative references cited in this workpaper
References